$400 to $2.1 Million thru Real Estate with Megan Stafford

Megan Stafford’s journey in real estate began in a small town in Arkansas, where she purchased her first duplex using a 203K loan with only a 3.5% down payment. 

Over the years, Megan has grown her portfolio to include 13 doors across 10 properties, with a focus on cash flow and appreciation.

Creative Financing and the Power of Networking

One of the most common questions people have when it comes to real estate investing is how to finance deals. Megan’s early success was fueled by creative financing methods and leveraging her network. She started by investing her profits from selling Bitcoin into her first duplex, using an FHA loan with a low down payment. As she expanded her portfolio, she began reaching out to friends and acquaintances, offering them the opportunity to invest in her deals. Megan explains:

“I found a really good deal. I made a small little flyer to send out to my buddies. I didn’t even know if they had money. I didn’t even ask my friends how much money they make. I just said, ‘Hey, it’ll take this much to get in. We only need 25% down.'”

By involving others in her investments, Megan was able to scale her portfolio and provide her investors with attractive returns. She structured the deals based on mutual agreements, often splitting profits and responsibilities. Megan shares:

“I actually did 75-25. He did 75% of the down payment, I did 25%. I did all the work. I found the deal, I fixed it up, hired out, managed all of that, did all the accounting, and found the renter.”

The Importance of a Good Deal and Value-Adding Renovations

Finding good deals is crucial to Megan’s success in real estate. She emphasizes the importance of focusing on the layout and potential of a property rather than its current condition. Megan looks for properties with a good layout and the potential to add value through renovations. She explains:

“I would say nine times out of ten, people love a good layout. Even if it doesn’t have a good layout, I can figure out how to make it that way. If it’s a three-bedroom and it only has one bathroom, I usually want to add a bathroom.”

Megan’s attention to detail and interior design skills have allowed her to transform properties and maximize their value. She takes pride in creating clean, open, and airy spaces that appeal to potential buyers or renters. Megan says:

“I do a lot of all white, clean style, make it very open and airy. I’m pretty nitpicky about final touches. I want to make sure that all looks the way that I want it to look.”

Balancing Time and Managing Properties in Two States

As Megan’s portfolio grew, she faced the challenge of managing properties in two different states: Arkansas and California. She splits her time between the two, spending about a month in each location. Megan ensures effective communication with her team through daily check-ins and the use of technology. She explains:

“My team checks in with me on FaceTime. They send pictures of what they’re gonna work on. Before lunch, they send what they’ve completed. It’s a lot of communication back and forth.”

While managing properties in two states can be demanding, Megan values her freedom and the ability to travel. She plans to reduce her unit count to alleviate the workload and focus on enjoying life.

Conclusion: Lessons in Negotiation, Perseverance, and Lifestyle Design

Megan Stafford’s journey in real estate offers valuable lessons for aspiring investors. Her success is a testament to the power of creative financing, networking, and perseverance. Megan’s ability to find good deals, add value through renovations, and manage properties in two different states showcases her expertise and dedication. As she looks towards the future, Megan plans to strike a balance between her real estate ventures and her personal life, emphasizing the importance of enjoying oneself, spending time with family, and pursuing passions.

Through Megan’s story, we learn the importance of negotiation skills, the value of a good layout in properties, and the potential for creative financing. Her experiences highlight the possibilities in real estate investing and the rewards that come with strategic decision-making and hard work. As Megan continues to scale her portfolio and explore new opportunities, her journey serves as an inspiration for others looking to achieve financial independence and design a fulfilling lifestyle through real estate.